The payback analysis provides a simple measure of liquidity and short-term risk, it has limitations and should be used in conjunction with other investment evaluation methods to make informed decisions.
To calculate the payback period, we need to determine how long it takes to recover the initial investment of $1,000 based on the cash flows.
Year 1: $200
Year 2: $400
Year 3: $700
Year 4: $400
Year 5: $400
To calculate the cumulative cash flows, we add up the cash flows year by year:
Year 1: $200
Year 2: $200 + $400 = $600
Year 3: $600 + $700 = $1,300
Year 4: $1,300 + $400 = $1,700
Year 5: $1,700 + $400 = $2,100
The payback period is the time it takes for the cumulative cash flows to equal or exceed the initial investment. In this case, the cumulative cash flow reaches $1,000 in Year 3. However, it exceeds $1,000 in Year 4. Therefore, the payback period is between Year 3 and Year 4.
To calculate the exact payback period in days, we need to determine the fraction of the cash flow in Year 4 that helps to reach the $1,000 mark. The cash flow in Year 4 is $400, and the remaining amount to reach $1,000 is $1,000 - $1,300 = -$300. Therefore, the fraction is $300/$400 = 0.75.
The payback period is approximately 3 years and 0.75 x 365 = 273.75 days.
Now, let's address the second part of your question:
Why is the payback analysis a good one to use?
The payback analysis provides a simple and straightforward measure of how quickly an investment can recover its initial cost.
It helps assess the liquidity and short-term risk associated with an investment.
It is easy to understand and calculate, making it useful for quick decision-making.
Why is the payback analysis a poor one to use?
The payback analysis does not consider the time value of money. It does not account for the fact that cash flows in the future are worth less than cash flows received today.
It ignores the profitability of an investment beyond the payback period. Investments with longer payback periods may still be profitable in the long run.
It does not consider the overall return on investment or the risk associated with the investment.
It may lead to biased decisions by favoring short-term projects with quick paybacks over potentially more profitable long-term projects.
Therefore, while the payback analysis provides a simple measure of liquidity and short-term risk, it has limitations and should be used in conjunction with other investment evaluation methods to make informed decisions.
Learn more about Risk from
https://brainly.com/question/30194975
#SPJ11
Gossip occurs when Jen and Kathy talk about _______. A. Their coworker Ted. B. The upcoming World Series. C. Their favorite TV show d. The clothes they will wear to a party.
Gossip occurs when Jen and Kathy talk about their coworker Ted.
What is a Gossip?
A Gossip can be regarded as the practice usually found in the society and organization which involves talking about someone behind him or her.
It involves a friend saying something else about co workers and this can cause problem in the organization.
Learn more about Gossip at;
https://brainly.com/question/6839284
Gossip occurs when Jen and Kathy talk about their coworker Ted.
The correct option is (A).
What is Single All The Way?Single all the way is a Netflix-based Canadian romance comedy.
This is based on gay romance. The character has to answer his family's questions about being single because his family doesn't know that he is gay.
Thus, the correct option is (A) Their coworker Ted.
Learn more about Single all the way, here:
https://brainly.com/question/5243157
Auditing standards require that auditors document Group of answer choices all conversations with management. results of the procedures performed to address the risk of management override of controls. specific risks of fraud identified at the financial statement level, but not at the assertion level. all of the above.
Answer:
results of the procedures performed to address the risk of management override of controls.
Explanation:
Internal controls can be defined as the policies, set of rules, and procedures implemented or put in place by an organization to protect its assets, boost efficiency, enhance financial accountability, enforce adherence to company policies and prevent fraudulent behaviors among the employees.
The purpose of internal controls is that companies use strong internal controls to guarantee that loss is eliminated as there's an accurate and reliable accounting system.
Basically, an internal control involves the timely use of both internal and external sources of auditing or financial reporting and as such enhance the maintenance of accurate and proper financial records which would also improve their operational efficiency.
An auditor refers to an authorized individual who review, examine and verify the authenticity and accuracy of business financial records or transactions.
Auditing standards require that auditors document results of the procedures performed to address the risk of management override of controls in accordance with the public company accounting oversight board (PCAOB).
your friends, jim and joey (16) are twin brothers and just received a $1000 inheritance from a wealthy aunt. jim wants the two of them to put their money together and buy a 4-wheeler. joey says he wants to put his money in a savings account. jim comes to you to ask you to help persuade joey to buy the 4-wheeler. what is your best financial advice?
The best argument to persuade Joey to buy the 4-wheeler is to inform him that keeping the money in a savings account would cause that money to loose value overtime (due to interest rates). Therefore, to ensure the best use of the $1000, it is ideal to use that money rather than save it.
Name the one sport in which neither the spectators nor the participants know the score or
the leader until the contest ends.
Answer:
Boxing
Explanation:
If Japan has a comparative advantage in the production of microchips,how would that affect their international trade?
Answer: countries would purchase microchips from japan because they are cheaper
Explanation:
Answer:
C countries with purchase microchips from Japan because they are cheaper.
Explanation: USATestprep
After performing a bank reconciliation, we need to journalize ________.A. all items on the book side of the reconciliationB. to guarantee that a company will not go bankruptC. promote operational efficiencyD. is established to pay for minor purchases.
After performing a bank reconciliation, we need to journalize to guarantee that a company will not go bankrupt.
What is bank reconciliation?A bank reconciliation is the process of comparing the balances for a cash account in the accounting records of a company to the equivalent data on a bank statement. Finding the discrepancies between the two is the aim of this procedure, and any necessary alterations will be recorded in the accounting records. Bank reconciliations are a crucial internal control tool that are required for avoiding and identifying fraud. By explaining the discrepancies between the cash balances in the accounting record and the bank balance position as stated in the bank statement, they also assist in identifying accounting and banking problems.
To learn more about bank reconciliation click,
https://brainly.com/question/15525383
#SPJ1
The MR curve of a perfectly competitive firm is horizontal. The MR curve of a monopoly firm is:
multiple choice
upward sloping.
downward sloping.
horizontal, too.
it depends.
The MR curve of a monopoly firm is downward sloping.
While a monopolist's marginal revenue curve slopes downward, that of a competitive firm is horizontal and straight. A completely competitive firm has a marginal revenue that is equal to its price. One way to represent this is as a horizontal straight line. Whereas, monopolists, have a marginal revenue curve that slopes downward.
The MR curve of a monopoly is downward-sloping as a monopolist is typically the only seller in the market. As the monopolist increases the quantity of goods sold, the price of the goods must be reduced to find buyers for the additional units. This means that the revenue earned from each additional unit sold is less than the revenue earned from the previous unit, resulting in a downward-sloping MR curve.
Read more about MR curve on:
https://brainly.com/question/14058559
#SPJ4
There are more corporations in this country than any other business structure.
OTrue
O False
Answer:
O False
Explanation:
Corporations are independent legal entities that have commercial rights like individuals. They can acquire properties, incur debts, enter into contracts, sue, and be sued. The owners are its shareholders and enjoy limited liabilities to its debts. The corporation business structure is most complex to establish and run. Due to this reason, they are fewer in numbers compared to the other forms of business structures.
The sole proprietorship structure is the most common type of business ownership in the US. Of all business structures, the sole trader is the simplest to start and operate.
To perform the analysis correctly, how we
should order the alternatives?
To perform the analysis correctly, it is important to order the alternatives based on a predetermined set of criteria. This could include factors such as cost, feasibility, impact on stakeholders, and overall effectiveness.
By prioritizing these criteria and using them to rank the alternatives, the analysis can be conducted in a logical and systematic manner, allowing for a more accurate assessment of the options available. Ultimately, the order in which the alternatives are presented can have a significant impact on the outcome of the analysis, so careful consideration and planning is necessary to ensure that the process is as objective and comprehensive as possible.
To perform the analysis correctly, you should order the alternatives by first identifying your evaluation criteria, then ranking each alternative based on those criteria, and finally, comparing the alternatives to determine the best option.
Learn more about analysis here:
https://brainly.com/question/29926939
#SPJ11
Select the correct answer.
Which of the following is a good resource to help you find a job opening?
A.
Employment offices
B.
Online sources
C.
Family, friends, and other contacts
D.
All of the above
Answer:
D All of the above
Explanation:
Strait Co. manufactures office furniture. During the most productive month of the year, 3,200 desks were manufactured at a total cost of $83,900. In the month of lowest production, the company made 1,290 desks at a cost of $58,200. Using the high-low method of cost estimation, total fixed costs are
Using the high-low method of cost estimation, the total fixed costs for Strait Co. are approximately $44,078.40.
Using the high-low method of cost estimation, we can determine the fixed costs of Strait Co. by analyzing the difference in production levels and costs between the highest and lowest months.
To calculate the fixed costs, we need to determine the variable cost per unit first. This can be done by finding the difference in total costs between the highest and lowest months, and then dividing it by the difference in production levels.
Let's calculate the variable cost per unit:
Variable cost per unit = (Total cost in highest month - Total cost in lowest month) / (Production in highest month - Production in lowest month)
Variable cost per unit = ($83,900 - $58,200) / (3,200 - 1,290)
Variable cost per unit = $25,700 / 1,910
Variable cost per unit ≈ $13.46
Now that we have the variable cost per unit, we can calculate the fixed costs by subtracting the variable costs from the total costs in any given month.
Let's use the data from the highest month:
Total costs = Fixed costs + (Variable cost per unit × Production)
$83,900 = Fixed costs + ($13.46 × 3,200)
Fixed costs = $83,900 - ($13.46 × 3,200)
Fixed costs ≈ $44,078.40
Learn more about total fixed costs here :-
https://brainly.com/question/30826886
#SPJ11
analyse the impact of an enterprise using break even analysis to make business decisions
Answer:
Using break-even analysis in your feed and grain business can help you understand and examine the profit drivers of your business. It is a very useful tool that can help you understand how much you need to sell to cover your costs and how pricing, cost, and volume changes impact these needed sales.
Which term describes a person's income before any deductions?
Question 6 options:
gross
net
interest
total
Answer:
Gross.
Explanation:
A Gross is the total amount of money you've made before any deductions.
A net income is gross profit with all expenses removed.
A interest is usually a percentage paid for the usage of the money.
A total is all compensation received for services throughout the year.
The _____ is a national organization composed of all nongovernmental, independent, local regulatory agencies that act to preserve good business practices.
The Council of Better Business Bureaus is a public association made out of all nongovernmental, free, and nearby administrative organizations that demonstration to protect great business rehearses.
What is Council of Better Business Bureaus?BBB NP unites business, industry, and exchange relationship to address public and global worries and advance industry best practices connected with honest promoting, youngster amicable advertising, security, and debate goal.
When an objection is submitted to the Better Business Department, they will decide whether an issue can be dealt with. For instance, BBB doesn't manage estimating, approaches, boss or representative questions, or anything connected with professional cycles or government offices.
One way the BBB brings in cash is by recruiting organizations to be "confirmed." On the off chance that an organization is certify, it can utilize the BBB licensed logo and clients will see the organization as more reliable.
Therefore To be certify, an organization should present an application and pay an expense.
Learn more about Business here:
brainly.com/question/15826604
#SPJ4
the useful life of a purchased trademark is considered to be indefinite, therefore the cost of the trademark is
Answer: not amortized
Explanation:
On January 1, Year 2, Kinney, Inc., an electing S corporation, has $4,000 of AEP and a balance of $10,000 in AAA. Kinney has two shareholders, Erin and Maine, each of whom owns 500 shares of Kinney’s stock. Kinney’s Year 2 taxable income is $5,000. Kinney distributes $6,000 to each shareholder on February 1, Year 2, and distributes another $3,000 to each shareholder on September 1. How is Erin taxed on this distribution?
A. $500 dividend income.
B. $1,000 dividend income.
C. $1,500 dividend income.
D. $3,000 dividend income.
E. None of the above.
Erin is taxed $1,500 dividend income on this distribution
In the case of an S corporation, the shareholders are taxed on the distribution based on their share of the corporation's taxable income.
On February 1, Year 2, Kinney distributes $6,000 to each shareholder. Since Erin owns 500 shares, her share of the distribution would be calculated as follows:
Erin's share = (Erin's shares / Total shares) * Total distribution
= (500 / 1000) * $6,000
= $3,000
On September 1, Year 2, Kinney distributes another $3,000 to each shareholder. Again, Erin's share of the distribution would be calculated in the same way:
Erin's share = (Erin's shares / Total shares) * Total distribution
= (500 / 1000) * $3,000
= $1,500
Therefore, Erin's total distribution for the year is $3,000 + $1,500 = $4,500.
Since the distributions from the S corporation are treated as dividend income for the shareholders, Erin would be taxed on the $4,500 distribution as dividend income.
Therefore, the correct answer is:
C. $1,500 dividend income.
Learn more about dividend:-
https://brainly.com/question/2960815
#SPJ11
Which element of a marketing plan outlines how products or services will be sold and delivered to customers?.
Advertising plan element of a marketing plan outlines how products or services will be sold and delivered to customers. The core of your marketing strategy is this.
Your marketing strategy should specify how you intend to connect with your target market at each step. Your Targeted Customer Is the Most Crucial Aspect of a Marketing Plan. Contributors to Entrepreneur are free to share their own opinions. The most crucial and ongoing task for any marketer is to understand their advertising target audience. The plan's marketing implementation section describes how marketing strategies will be put into practise. The performance evaluation lays out the criteria by which results will be assessed.
To learn more about marketing, click here.
https://brainly.com/question/13414268
#SPJ1
Tapping into the excitement created in sports can help a brand:
a. Create more popular products
b. Increase their price point
c. Quickly develop a competitive advantage
d. Guarantee sales
e. None of these are correct.
Tapping into the excitement created in sports can definitely help a brand in many ways. First of all, it can help a brand create more popular products that resonate with sports fans and enthusiasts.
These products are likely to be popular with fans, increasing the brand's popularity and market share. Secondly, tapping into the excitement created in sports can also help a brand increase its price point. This is because sports fans are often willing to pay a premium for products that are associated with their favorite team or athlete. By creating high-quality products that are in demand among sports fans, a brand can justify charging a higher price point, leading to increased revenue and profitability. Thirdly, tapping into the excitement created in sports can also help a brand quickly develop a competitive advantage. This is because sports fans are often very passionate and loyal to their favorite teams and athletes. By associating their brand with these teams and athletes, a brand can quickly gain the trust and loyalty of sports fans, giving them a competitive edge over other brands in the same market.
To know more about sports
https://brainly.com/question/30711036
#SPJ11
Attorneys suing Chiquita believe that the most ethical choice for a company facing violent threats at an overseas business unit is to: a.make questionable payments to political groups. b.offer bribes to top leaders of the host country. c.do nothing. d.suspend all business activities and exit the country.
Answer: d. suspend all business activities and exit the country.
Explanation:
Chiquita Brands International is simply a multinational corporation that delas with fruit production. While in Columbia, the company was involved in bribery which was due to the political unrest in the country.
In order to keep the guerilla fighters away from their workers, Chiquita has to bribe them which later resulted in a court case. Attorneys suing Chiquita believe that the most ethical choice for a company facing violent threats at an overseas business unit is to suspend all business activities and exit the country.
The most ethical choice for a company facing violent threats for option d.
Ethical choices:Chiquita Brands International should be the multinational corporation that deals with the production of fruit . While in Columbia, the company was included in bribery because of the political unrest in the country. For keep the guerilla fighters away from their workers, Chiquita has to bribe them that leads in a court case.
Learn more about company here: https://brainly.com/question/14867045
A street vendor sells two types of newspapers, one for $0. 25 and the other for $0. 40. If she sold 100 newspapers for $28. 00, how many newspapers did she sell at $0. 25?.
The street vendor sold 80 newspapers for $0.25.
Let he sell x no. of one type newspaper cost $0.25.
Than the no. of another type of newspaper have cost $0.40=100−x
Then according to the question
=0.25(x)+0.40(100−x)=28
=0.25x+40−0.40x=28
=0.25x−0.40x=28−40
=−0.15x=−12
=x=12/0.15
=80
The street vendor then sells 80 newspaper of one type having cost 0.25.
To learn more about newspaper click here:
https://brainly.com/question/14970012
#SPJ4
A local government implemented a tax of $2 for each Uber pickup at the airport.
As a result, consumers pay $2 more for an Uber from the airport. What do we know about the Uber market? answer in relation with microeconomics concepts
Answer:
The implementation of the $2 tax for each Uber pickup at the airport leads to an increase in the price of the service, which results in a decrease in the demand for Uber at the airport. This is an example of how government policies, specifically taxes, can affect market outcomes in microeconomics. In this case, the tax creates a negative externality for Uber users who are forced to pay more for the same service, resulting in a decrease in the quantity demanded of the service.
hope this helps...
What do you think it means that your money is FDIC/NCUA insured up to $250,000
I believed that my deposit money is insured up to $250,000 by FDIC/NCUA because it is a legal banking requirement.
What is the banking requirement?The insurance of deposit is necessary to prevent to banks from huge liability incase they lose their customer's deposit because of theft, fraud etc
In conclusion, I believed that my deposit money is insured up to $250,000 by FDIC/NCUA because it is a legal banking requirement.
Read more about FDIC
brainly.com/question/2226371
The additional satisfaction received from consuming an additional unit of a good is called the.
The additional satisfaction received from consuming an additional unit of a good is called Marginal Utility.
Marginal Utility is the benefit or additional satisfaction received by the consumer with each subsequent unit or additional unit of a good or service. Marginal utility is inversely related to the number of units of goods or services he has already consumed. This means that with the consumption of each additional unit add the satisfaction, and hence the marginal utility of the consumer, decreases.
Due to this downward trend, there must come a point where the marginal utility to the consumer becomes zero. This is derived from the concept that the price of foods or services is determined by their utility.
You can learn more about marginal utility at
https://brainly.com/question/15050855
#SPJ4
Tiko was approved for a credit card with a limit of $10,000. What would experts recommend that Tiko keep his balance below?
$1000
$5000
$8000
$3000
Answer:
usually for good credit most people advise that you spend 33% or less of your total credit line. Some say you can go up to 50% but I would recommend to build the best credits you should probably give his balance of $3,000 or less
Answer:
D
Explanation:
3000 or less
What is the biggest financial worry of most individuals and what can they do about it
how long does it take for tax refund to show in bank account after approved
Answer:
Assuming no issues, IRS issues tax refunds in less than 21 calendar days after IRS receives the tax return. IRS has an on-line tool, "Where's My Tax Refund", at www.irs.gov that will provide the status of a tax refund using the taxpayer's SSN, filing status, and refund amount.
Explanation:
10. Andrea's gross biweekly pay is $1,078. Her earnings to date for the year total $43,120. What
amount is deducted from her pay for Social Security, which is taxed at 6.2 percent? For Medicare
taxes if the rate is 1.45 percent?
Your answer should be $68,992. Hope this helps!!
Production of 34,000 units of its popular foldable hamper required 3,700 labor hours, 166 setups and consumed one-third of the product sustaining activities. What amount of unit-level costs will be allocated to the product
The amount of unit-level costs allocated to the production of 34,000 units of the foldable hamper is $19,414.00.
To calculate the amount of unit-level costs allocated to the product, we need to determine the allocation rate for the unit-level activity cost pool.
Unit-level cost pool: $37,600
Cost driver for unit-level activity: 66,000 units
Allocation rate for the unit-level activity cost pool:
Allocation rate = Unit-level cost pool / Cost driver for unit-level activity
= $37,600 / 66,000 units
≈ $0.571 per unit
To calculate the amount of unit-level costs allocated to the production of 34,000 units of the foldable hamper, we multiply the allocation rate by the number of units produced.
Unit-level costs allocated to the product = Allocation rate * Number of units produced
= $0.571 * 34,000 units
≈ $19,414.00
Hence, the allocated unit-level costs for producing 34,000 units of the foldable hamper amount to approximately $19,414.00.
Learn more about allocation rate here:
https://brainly.com/question/32541885
#SPJ11
The complete question is:
Valpar Company produces several lines of laundry hampers. The factory is highly automated and uses an activity-based costing system to allocate overhead costs to its various products. During the upcoming period, the company expects to produce 66,000 units. The costs and cost drivers associated with four activity cost pools are given below: ACTIVITIES: UNIT LEVEL BATCH LEVEL PRODUCT LEVEL FACILITY LEVEL $37,600 66,000 units Cost Cost Driver $66,000 10,000 labor hrs $9,600 360 set ups $16,600 % of use Production of 34,000 units of its popular foldable hamper required 3,700 labor hours, 166 setups and consumed one-third of the product sustaining activities. What amount of unit-level costs will be allocated to the product? (Do not round intermediate calculations.)
1. The Industrial Revolution began primarily because of.
A) Larger numbers of people unable to find work
B) The growth of corporations in the U.S.
C) The invitation of machines allowing the faster processing of raw materials.
D) Managers using practices to improve productivity of employees.
2. The first effort to apply scientific study to the management of businesses was?
A) Behavioral management
B) Classical management
C) Quality management
D) administrative management
The Industrial Revolution began primarily because of the invitation of machines allowing the faster processing of raw materials. The Option C is correct.
What led to Industrial Revolution in Europe?The Industrial Revolution transformed the economy from an agrarian to a manufacturing economy in which products were no longer made solely by hand but also by machines. This resulted in increased output and efficiency, lower prices, more goods, higher wages, and a shift from rural to urban areas.
The first Industrial Revolution began in Great Britain in the mid-to-late 1700s, when innovation led to large-scale production of goods through machine manufacturing. This spread around the world, and the Second Industrial Revolution began in the late 1800s in the United States, with further technological advancements leading to greater efficiency.
Read more about Industrial Revolution
brainly.com/question/14240244
#SPJ1
digby corp. ended the year carrying $16,595,000 worth of inventory. had they sold their entire inventory at their current prices, how many more dollars of contribution margin would it have brought to digby corp.?
Selling the inventory at the current prices would have brought $16,595,000 in contribution margin to Digby Corp in the year.
The amount an asset is worth is the market value of that asset. The amount an asset cost to acquire or manufacture is the book value of the asset. The balance sheet can report either the book values or the market values of assets, liabilities, and equity.
The inventory is worth $16,595,000. This figure represents the market value of inventory. Therefore, if they had sold their entire inventory at their current prices, the sale would have added $16,595,000 to their contribution margin.
Learn more about contribution margin:
https://brainly.com/question/29534784
#SPJ4